Tata Power Company Ltd's shares rose 3% on Monday after the Tata Group announced that its subsidiary, Tata Power Renewable Energy Ltd (TPREL), has signed a memorandum of understanding (MoU) with the Andhra Pradesh government to collaborate on renewable energy projects in the state.
On the BSE, Tata Power's stock increased 3% to Rs 361.85. The market value of the company increased to Rs 1.14 lakh crore. The relative strength index (RSI), which is 48.3, shows that the stock is neither overbought nor oversold on the charts. The stock is currently trading below the 50-, 100-, 150-, and 200-day moving averages, but above the 5-, 10-, 20-, and 30-day moving averages.
Over the past two years, Tata Power's stock has increased by 72%. In five years, the stock returned 807%. However, the stock has declined 15% in a year and 19% in six months.
Through this strategic partnership, TPREL and the Andhra Pradesh government will work together to investigate solar, wind, and hybrid projects with or without storage options, as well as other renewable energy development opportunities up to 7,000 MW (7 GW).
These projects rank among the biggest investments in renewable energy in the state, with an estimated cost of up to ₹49,000 crore.
With a potential investment of ₹10 lakh crore, Andhra Pradesh's Integrated Clean Energy (ICE) Policy seeks to develop more than 160GW of renewable energy.
Deepesh Nanda, CEO and Managing Director of TPREL, stated that "by leveraging our expertise and cutting-edge technology, this partnership will drive large-scale renewable adoption and contribute to India's sustainability goals." Developing up to 7GW of clean energy projects will help Andhra Pradesh strengthen its position as a renewable energy hub and accelerate its transition to a low-carbon economy."
